Blankley v Central Manchester and Manchester Children's University Hospitals NHS Trust [2014] EWHC 168 (QB) (05 February 2014)

Blankley v Central Manchester and Manchester Children's University Hospitals NHS Trust [2014] EWHC 168 (QB) (05 February 2014)

Supervening mental incapacity of a client does not, as a matter of law, frustrate or terminate a solicitor's retainer; the contract remains in force, though the solicitor's authority is suspended until a deputy is appointed or capacity is regained. Therefore, the claimant's solicitors were entitled to recover costs under the original CFA for work done after the claimant lost capacity.

Citation
[2014] EWHC 168 (QB)
Parties
Claimant/appellant: Diann Blankley (by her Litigation Friend Andrew M. G. Cusworth); Defendant/respondent: Central Manchester and Manchester Children's University Hospitals NHS Trust
Jurisdiction
England and Wales
Judgment Date
05 February 2014
Procedural Posture
Costs Appeal in Personal Injury Litigation / Appeal From Decisions of Regional Costs Judge Harris (first and Second Judgments)
Outcome
Appeal allowed; First Judgment set aside; defendant's application to strike out parts 4 to 7 of the Bill of Costs dismissed; no order on appeal against Second Judgment.
Legal Topics
Solicitor's Retainer, Frustration of Contract, Mental Incapacity, Conditional Fee Agreements, Authority of Litigation Friend, Costs Recovery
Civil Procedure Contract Law Mental Capacity Law Solicitor's Retainer Frustration of Contract Mental Incapacity Conditional Fee Agreements Authority of Litigation Friend +1 more

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Parties

Diann Blankley (by her Litigation Friend Andrew M. G. Cusworth)

Claimant/appellant

Central Manchester and Manchester Children's University Hospitals NHS Trust

Defendant/respondent

Procedural Posture

Costs Appeal in Personal Injury Litigation / Appeal From Decisions of Regional Costs Judge Harris (first and Second Judgments)

Legal Issues

  1. 1 Does supervening mental incapacity of a client automatically terminate a solicitor's retainer?
  2. 2 If so, can a receiver/deputy adopt or enter a new retainer?
  3. 3 Are solicitors entitled to reasonable fees for necessary services under s.7 Mental Capacity Act 2005?

Ratio Decidendi

Supervening mental incapacity of a client does not, as a matter of law, frustrate or terminate a solicitor's retainer; the contract remains in force, though the solicitor's authority is suspended until a deputy is appointed or capacity is regained. Therefore, the claimant's solicitors were entitled to recover costs under the original CFA for work done after the claimant lost capacity.

Court Disposition

Appeal allowed; First Judgment set aside; defendant's application to strike out parts 4 to 7 of the Bill of Costs dismissed; no order on appeal against Second Judgment.

Orders

  • Claimant's appeal against First Judgment allowed.
  • Defendant's application to strike out parts 4 to 7 of Bill of Costs dismissed.